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[Ed note: while adherents of the modern-day tea party will never truly come to grips with the obvious birthing of their movement (racism borne by a fear of a Black Man in the White House) the rest of you should know just how wrong they are.]

Economic causes of the Boston Tea Party

In 1773 the East India Company was one of the strongholds of British economy. Suddenly it found itself at odds with the American non-importation restrictions on tea and with a huge inventory it could not move. The company was not able to meet its payment on dividends and loans and was moving towards bankruptcy. Of course the British government was reluctant to let it happen from fear that this may disrupt financial markets. As an alternative to a direct loan the Ministry decided to allow the company to send tea to America without paying an export duty.

The king and Lord North, losing sight of the principle involved, foolishly thought this measure would quiet the Americans, “for,” North said, “men will always go to the cheapest markets.” So another opportunity for reconciliation was lost. In May, Parliament passed an act in accordance with the king's desires, for so favoring the East India Company–a vast monopoly sitting heavily on the commercial enterprise of England–while respectful petitions and remonstrances from his loyal subjects in America, touching the highest interests of the nation, were treated with scorn.

via Boston Tea Party Historical Society.

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